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Old 10-31-2005, 10:34 AM
Ruken is offline
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Join Date: May 2003
Location: DC
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What do politicians do with their investments to prevent conflict of interest?

This includes various other government employees as well.

Say my buddy Joe runs for president of the US on the Cynics Party ticket in 2008 and wins the election. Because we're such good buddies, and I'd make an excellent crony, Joe appoints me as the head of some executive branch department. Are there laws saying what he and I have to do with our various investments? Rules? Customs? I remember hearing of some issues w/Cheny's investments with his former company, but I'd also heard he had to sell all his stock with them. What do government employees do to convince the public that their own money-making is not coloring their job performance?

Please remember this is GC.
Old 10-31-2005, 01:30 PM
JerH is offline
Join Date: Feb 2003
Location: Northern Virginia
Posts: 933
I don't know that actual law, but I remember that David Packard wasn't allowed to profit from his holdings in HP when he served in the Nixon administration; while he still held the stock, any dividends/profits were put into his non-profit foundation.
Old 10-31-2005, 01:34 PM
Doug Bowe is offline
Join Date: Mar 1999
Location: El Paso, TX, USA
Posts: 2,812
The money needs to be put in a blind trust. Pick a financial manager you trust to run it.
The reason it's called a blind trust is you don't (or, aren't supposed to) know exactly what's there. Your manager reports numbers.
Old 10-31-2005, 02:03 PM
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RealityChuck is online now
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As an interesting sidelight, the New Yorker pointed out that, for some reason, politicians investment holdings always outperform any mutual fund, the market, or anything else.

Can you say "insider information."
"If a person saying he was something was all there was to it, this country'd be full of rich men and good-looking women. Too bad it isn't that easy.... In short, when someone else says you're a writer, that's when you're a writer... not before."
Purveyor of fine science fiction since 1982.
Old 10-31-2005, 02:05 PM
Squink is offline
Join Date: Oct 2000
Location: Yes
Posts: 20,390
Originally Posted by Doug Bowe
The money needs to be put in a blind trust.
That's not always necessary.

Sometimes Blind trusts aren't so blind as politicians make them out to be:
Letters Show Frist Notified Of Stocks in 'Blind' Trusts
Documents Contradict Comments on Holdings


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